Full Year Analysis
The year in context
With 2,214,182 foreign passengers through Keflavík Airport, 2023 ranks 4th of the 23 complete years on record, 96% of the record set in 2018. Against 2019, the last full year before the pandemic, arrivals were up 11.5%. Compared with the average of the five preceding years (excluding 2020 and 2021), 2023 came in ahead by 11.1%. Foreign hotel nights reached 94% of their 2025 record.
Overall Performance
2023 marked continued recovery and growth for Iceland's tourism sector. Foreign visitors recorded 4,589,154 overnight stays in hotels throughout the year, an increase of 14.3% compared to 2022's 4,014,004 nights.
Spending Trends
Tourist card spending totaled 328 billion ISK in 2023, up 29.2% from 2022. On a per-night basis, spending averaged 72k ISK, an increase of 13.0% year-over-year. Spending growth outpaced volume growth, suggesting higher per-visitor expenditure.
Seasonal Patterns
Aug was the busiest month with 530,300 foreign overnight stays, while Dec recorded the lowest volume at 256,977 nights. Average hotel occupancy ranged from winter lows to summer peaks, with a full-year average of 68.3%.
Source Markets
United States of America remained Iceland's largest source market, accounting for 32.1% of foreign overnight stays. United Kingdom (16.3%) and Germany (9.2%) rounded out the top three. Notable growth came from China, Other Asian countries.
Data Sources
- Overnight Stays: Statistics Iceland (Hagstofa Íslands)
- Occupancy Rates: Statistics Iceland
- Card Spending: Central Bank of Iceland (Seðlabanki Íslands)